Wheat futures surge amid global uncertainty and volatility
The wheat market has risen sharply with hard red spring Minneapolis December up 15 percent to 7.31 per bushel and hard red winter Kansas City up 25 percent to 7.35 per bushel. Traders face extreme daily volatility as they adjust to shifting global fundamentals and conflicting news. Former Soviet Union nations Russia Ukraine and Kazakhstan are noted in the context.
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Volatile Global Wheat and Canola Outlook Boosts Prices
The report notes droughts trim grain yields, a Russian cereal export ban from August to December, and potential export limits by Ukraine and Kazakhstan. It cites firm November canola futures, Canada canola production estimates near 10.3 million tonnes, and a tight 2010/11 carry-out. Domestic crush rising, exports easing to 5.2 million tonnes, with strong demand supporting prices.
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